Purpose – This study aims to identify and explain the effects of the workplace environment, compensation, and learning organization on innovative work behavior among employees of PT BPR Mentari Terang. Design/Methodology/Approach – This study employs an exploratory research design to examine causal relationships among variables through hypothesis testing. Using a census sampling technique, all 45 employees of PT BPR Mentari Terang were selected as respondents. Data were collected through validity and reliability-tested Likert-scale questionnaires and analyzed using descriptive analysis and multiple linear regression with SPSS version 26. Findings – The results indicate that the workplace environment has a significant effect on employees’ innovative work behavior, while compensation does not have a significant effect. Furthermore, learning organization significantly influences innovative work behavior. These findings suggest that organizations should improve workplace conditions and encourage continuous learning to enhance employee innovation. Originality/Value This study provides empirical evidence from a rural banking context, offering a rarely explored perspective on innovation determinants in smaller financial institutions. The findings highlight the distinct roles of workplace environment and organizational learning in fostering employee innovation, contributing practical and context-specific insights for managerial decision-making.
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